Warwick Hotels expands into London with purchase of Capital hotel

In London's swanky Knightsbridge neighborhood, U.S.-based Warwick Hotels and Resorts has purchased the The Capital Group—consisting of the 49-guestroom Capital Hotel, Capital Apartments and 12-guestroom Levin Hotel—for an undisclosed sum. Warwick also acquired the neighboring Levin hotel and the London Bakery.

The acquisitions mark Warick's UK debut. The company owns more than 55 hotels in the US, Europe, Asia, the South Pacific, the Caribbean, Middle East and Africa.

David Levin, who founded the Capital close to 50 years ago, will work as a consultant to Richard Chiu, president and CEO of Warwick Hotels & Resorts. Kate Levin, his daugher, will remain on as general manager.

The negotiations leading to the acquisition were conducted by Vasu Majumdar of Grant Thornton for the Levin family, and Ulla Schneider, Eric Soukiassian and Frederic Pasquer for Warwick.

As of late 2013, the most recent accounting information available puts the hotel's worth at £34.4 million. In 2015, the property achieved a a turnover of £5.6m in 2015, with a pre-tax profit of £638,458. That year, it reached 73 percent occupancy, while ADR was £265 and RevPAR was £192.

The Capital hotel is a member of Small Luxury Hotels of the World.